As of 2025, there are 26 IRDAI-approved life insurance companies in India, which include one government insurer (LIC of India) and 25 private players like HDFC Life, ICICI Prudential, SBI Life, and Max Life. Among them, LIC is the largest and only government-owned company, while private insurers compete with diverse plans and digital services.
The top life insurance companies in India are ranked based on their claim settlement ratio (CSR), solvency ratio, premium affordability, and customer service. Choosing the right insurer is important to ensure financial protection, tax benefits, and long-term wealth creation for your family.
As of 2025, there are 26 life insurance companies in India approved by IRDAI. Out of these, 1 is government-owned (LIC of India) and the remaining 25 are private life insurance companies. Here is the complete list of life insurance companies in India 2025:
According to the IRDAI Annual Report 2024-25, these are the top life insurance companies in India ranked by Claim Settlement Ratio (CSR). The CSR shows the percentage of claims an insurer pays out, while the Solvency Ratio reflects financial strength (minimum requirement: 1.5).
| Top Life Insurance Companies | Solvency Ratio | Claim Settlement Ratio (CSR) % |
|---|---|---|
| 1. HDFC Life Insurance | 2.03 | 99.96 |
| 2. Axis Max Life Insurance | 2.01 | 99.65 |
| 3. PNB MetLife India Insurance | 1.72 | 99.57 |
| 4. LIC of India | 2.11 | 99.48 |
| 5. Tata AIA Life Insurance | 1.80 | 99.41 |
| 6. SBI Life Insurance | 1.96 | 99.40 |
| 7. ICICI Prudential Life Insurance | 2.12 | 99.30 |
| 8. Bajaj Allianz Life Insurance | 3.25 | 99.23 |
| 9. Kotak Mahindra Life Insurance | 2.27 | 98.7 |
| 10. Aditya Birla Sun Life Insurance | 1.94 | 98.12 |
The higher the claim settlement ratio, the better the chances of a hassle-free claim process. However, it's also essential to consider the solvency ratio, which should be at least 1.5 or above, as IRDAI recommends.
India's top life insurance companies offer high claim settlement ratios, strong financial backing, and diverse insurance products suited for different needs. Below is a detailed overview of the top insurers to help you make an informed decision.
HDFC Life Insurance is a strong Indian private insurance company with a strong financial profile and innovative insurance solutions. It provides hassle-free claim settlement with a claim settlement ratio of 98.66%. It provides various terms, savings, and investment plans for individuals' financial requirements.
Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| 4.45 | 35.43 | 34.03 |
Max Life Insurance is one of the best private insurance companies in India, famous for its high claim settlement ratio of 99.34%. It has multiple term and investment policies available, providing flexibility and security for the future. Strong financial strength is evidenced by its high solvency ratio of 2.01, assuring the claimants their claims will not cause them much trouble.
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PNB MetLife India Insurance is known for its wide range of life insurance products and competitive pricing. With a claim settlement ratio of 97.33%, it ensures reliability in claim processing. The company offers flexible premium payment options and strong financial security.
Life Insurance Corporation of India (LIC) is the country's largest and most well-respected insurance company. It is the most reliable insurance company, with a claim settlement ratio of 98.74%. LIC offers various types of insurance products such as term insurance, endowment insurance, and pension insurance.
Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -18.56 | 29.71 | -1.5 |
Tata AIA Life Insurance is a joint venture between Tata Sons and AIA Group that provides stable and flexible life insurance solutions. It provides a claim settlement ratio of 98.53%, making it a convenient choice for the company to have a hassle-free claim settlement service.
SBI Life is a leading insurance provider backed by the trust of the State Bank of India. It offers affordable term insurance and a wide range of life insurance policies.
Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -4.34 | 40.25 | 112.48 |
ICICI Prudential Life Insurance is a major private insurance company that offers term insurance and insurance solutions linked to investments. It has a claim settlement ratio of 97.82%, providing a hassle-free claims settlement. It offers a range of term insurance and savings insurance plans to cater to various financial requirements.
Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -19.24 | 2.63 | 38.96 |
Bajaj Allianz Life Insurance is a highly established insurance provider that provides a number of term insurance, ULIP, and pension insurance solutions. It provides a 99.02% claim settlement to deliver a hassle-free claim settlement to the insured individuals. With a solvency ratio of 5.67, the company is financially stable and strong.
Kotak Mahindra Life Insurance is a well-developed private insurance company that offers customer-oriented and cost-effective insurance solutions at reasonable premium rates. It offers a claim settlement of 98.82%, meaning the policyholders' claims are settled smoothly. It is also famed for providing extensive coverage at reasonable premium rates.
Aditya Birla Sun Life Insurance offers a range of life insurance policies designed to provide financial security and investment benefits. It has a claim settlement ratio of 98.07%, ensuring quick and transparent claim processing. The company is recognised for offering cost-effective term insurance policies with flexible payment options.
Life insurance is a financial contract between an individual (policyholder) and an insurance company. The insurer promises to pay a fixed amount (called sum assured) to the nominee if the policyholder dies during the policy term. In return, the policyholder pays regular premiums. Some life insurance plans also provide maturity benefits if the policyholder survives the term.
In India, life insurance is an important part of financial planning. As per IRDAI, there are over 30 crore active life insurance policies, and penetration stood at 3.2% in 2022. Life insurance not only ensures financial security for dependents but also offers tax benefits under Section 80C and 10(10D) of the Income Tax Act.
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Several types of life insurance policies are available in India, each catering to different financial goals.
1. Term Life Insurance
Term insurance is a pure protection plan that provides life cover for a fixed period. The nominee receives the sum assured if the policyholder passes away during the term. However, there is no maturity benefit if the insured survives the policy term. These plans are the most affordable and offer high coverage at low premiums.
2. Whole Life Insurance
Whole life insurance provides coverage for the insured's entire lifetime (usually up to 99 or 100 years). It includes both death benefits and a savings component, which accumulates over time. This policy is suitable for long-term financial planning and estate creation.
3. Endowment Plans
Endowment plans combine insurance and savings. They provide a lump sum payout if the policyholder survives the policy term or to the nominee in case of death. These plans are ideal for individuals looking for both protection and guaranteed returns.
4. Unit-Linked Insurance Plans (ULIPs)
ULIPs are investment-linked life insurance policies where a portion of the premium goes towards life cover, and the rest is invested in equity or debt funds. ULIPs provide market-linked returns, making them suitable for wealth creation.
5. Money-Back Policies
Money-back policies provide periodic payouts during the policy term instead of a lump sum at maturity. These payouts act as survival benefits, making it a good choice for those needing regular liquidity.
6. Retirement/Pension Plans
Retirement or pension plans help individuals build a corpus for post-retirement life. The policyholder contributes premiums during their working years, and after retirement, they receive regular payouts as an annuity or a pension.
The claim ratio of life insurance companies is a crucial factor in determining the reliability of an insurer. It represents the percentage of total claims settled by an insurance company against those received in a The claim settlement ratio (CSR) shows how many claims a life insurer pays compared to the total claims received in a year. A higher CSR means the insurer is more reliable in paying out claims, giving more security to policyholders.
As per the IRDAI Annual Report 2023, the claim settlement ratio of life insurance companies in India ranges between 97% and 99%.
Choosing the best life insurance company in India requires looking at multiple factors beyond brand name. Here are the key points to check before deciding:
Buying life insurance has become easier with digital platforms offering quick and hassle-free policy comparisons. While many insurance aggregators and direct insurer websites provide options, Shree Insure is India's best platform for buying life insurance. It offers a simple and transparent buying process, expert guidance, and access to policies from India's top life insurance companies.
With Shree Insure, you can compare multiple policies, check premium rates, and get personalised recommendations based on your financial goals.
A life insurance policy is more than just financial protection; it is a long-term investment in your family’s security and well-being. With rising uncertainties in life, having a reliable life insurance plan ensures that your loved ones are financially stable in case of an unfortunate event.
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Choosing the best life insurance company in India depends on many factors, such as claim settlement ratio, solvency ratio, policy coverage, and premium affordability. Whether you choose a government-backed insurer like LIC or a private company offering investment-linked plans, the key is to select a policy that matches your financial goals. With 26 IRDAI-approved life insurance companies in India, comparing their benefits, premiums, and features is important before making the right decision.
LIC of India is considered the best life insurance company in India, known for its financial stability, high claim settlement ratio (98.74%), and wide policy options. It is the only government-owned life insurer, trusted by millions of Indians.
In India, LIC of India (Life Insurance Corporation of India) is the only government-owned life insurance company. Established in 1956, LIC holds the largest market share and is known for its strong financial backing and high claim settlement ratio.
As per the Insurance Regulatory and Development Authority of India (IRDAI), there are 26 registered life insurance companies in India. Among these, LIC of India is the only public sector insurer, while the remaining 25 are private life insurance companies, including HDFC Life, ICICI Prudential Life, SBI Life, Tata AIA Life, Bajaj Allianz Life, and Max Life Insurance.
LIC of India is the No.1 life insurance company in India in terms of market share, customer trust, and total policies issued. It is the largest insurer, catering to millions of policyholders nationwide. LIC’s claim settlement ratio, financial stability, and extensive distribution network make it the top choice for many Indians.
Ping An Insurance is the largest life insurance company in the world, known for its advanced digital services and strong market presence. Some other companies include An Insurance (China), Allianz (Germany), Prudential Financial (USA), MetLife (USA), AXA (France), and LIC of India (India).
Disclaimer: This article is intended for educational purposes only. Please note that the data related to the mentioned companies may change over time. The securities referenced are provided as examples and should not be considered as recommendations.
